Prima facie clandestine removal evidence justified partial pre-deposit and waiver of balance demand pending appeal.
Strong prima facie evidence of clandestine removal was found from recovered documents, un-retracted inculpatory statements, buyers' admissions of receipt of branded goods without documents, and the driver's statement regarding transport under loose slips. Because the exact extent of the alleged evasion was not clearly ascertainable at the stay stage, only conditional interim relief was granted: deposit of 50% of the confirmed duty was directed, while the balance duty and the entire penalty were waived subject to compliance, with recovery of the remaining demand and penalties stayed pending appeal.
Issues: Whether the material on record made out a prima facie case of clandestine removal so as to warrant only a partial pre-deposit and waiver of the balance pending appeal.
Analysis: The recovered documents, the un-retracted inculpatory statements of the proprietor, the statements of buyers admitting receipt of branded goods without documents, and the statement of the driver transporting goods under cover of loose slips collectively provided sufficient prima facie evidence of clandestine activity. The extent of the alleged evasion was, however, not clearly ascertainable from the impugned order, and the matter was only at the stage of stay consideration.
Conclusion: A prima facie case of clandestine removal was established, but the appellant was granted conditional relief by directing deposit of 50% of the confirmed duty and waiving the balance duty and the entire penalty on compliance.
Final Conclusion: The stay matters were disposed of with only a partial pre-deposit requirement and interim protection against recovery of the remaining demand and penalties on compliance.
Ratio Decidendi: In a stay application, where the record discloses strong prima facie evidence of clandestine removal but the exact extent of liability is not clear, the Tribunal may grant only partial pre-deposit and waive the balance pending appeal.
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